PALM oil producer Golden Agri-Resources posted net profit of US$262.1 million for its second half ended Dec 31, up 1,617.1 per cent from US$15.3 million in H2 FY2023 as crude palm oil prices and sales volumes were higher for the full year.
This marked a recovery from last year, where net profit plunged 96.1 per cent for H2 FY2023.
Its earnings per share (EPS) for H2 FY2024 stood at US$0.0207, up from an EPS of US$0.0012 in the previous corresponding period.
Revenue for the half year climbed 18.2 per cent on the year to US$5.8 billion from US$4.9 billion, the group said on Thursday (Feb 27).
Its board proposed a final dividend of S$0.00804 per share, compared with a final dividend of S$0.00613 per share in the year-ago period. It will be paid out on May 20 after the record date on May 9, upon shareholders’ approval at the upcoming Apr 25 annual general meeting.
Earnings before interest, taxes, depreciation and amortisation for H2 was up 19.5 per cent at US$606.8 million from US$508 million previously, and 11.8 per cent higher for the full year at US$1.1 billion versus US$985.6 million in FY2023.
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For the full year, the group reported a net profit of US$364.6 million, up 84.5 per cent from US$197.6 million year on year. This translated to an EPS of US$0.0287 for FY2024 versus an EPS of US$0.0156 for FY2023.
Revenue climbed 11.8 per cent to US$10.9 billion from US$9.8 billion previously.
The growth was driven primarily by higher crude palm oil prices during the year and higher production output in the second half, the company said.
Golden Agri-Resources chairman and chief executive Franky Widjaja said: “Strong palm oil prices have persisted at the start of 2025, maintaining a premium over soybean oil. This trend will hold during the current low production season, while festive periods across Asia will drive consumption demand.”
He added that palm oil output is set to recover this year, especially in Indonesia, upon emergence from the long-tail impact of El Nino weather conditions. “This supply growth will be readily absorbed by sustained growth in demand supported by Indonesia’s higher B40 biodiesel blending mandate. We remain vigilant to the impact of geopolitical and global economic conditions on palm oil prices,” he said.
Shares of Golden Agri-Resources closed Wednesday unchanged at S$0.24.
